Exhibit 12
First Midwest Bancorp, Inc.
Ratio of Earnings to Fixed Charges (1)
(Dollar amounts in thousands)
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| Years ended December 31, |
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| 2012 |
| 2011 |
| 2010 |
| 2009 |
| 2008 |
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Ratio 1 - Including Interest on Deposits |
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Earnings available for fixed charges: |
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(Loss) income from continuing operations |
| $ | (21,054 | ) | $ | 36,563 |
| $ | (9,684 | ) | $ | (25,750 | ) | $ | 49,336 |
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Add: |
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Income tax provision |
| (28,882 | ) | 4,508 |
| (28,544 | ) | (50,176 | ) | (13,291 | ) | |||||
Fixed charges |
| 36,011 |
| 40,936 |
| 50,589 |
| 91,308 |
| 163,680 |
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Total earnings available for fixed charges |
| $ | (13,925 | ) | $ | 82,007 |
| $ | 12,361 |
| $ | 15,382 |
| $ | 199,725 |
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Fixed charges (2): |
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Interest on deposits |
| $ | 18,052 |
| $ | 27,256 |
| $ | 37,127 |
| $ | 64,177 |
| $ | 110,622 |
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Interest on borrowed funds |
| 2,009 |
| 2,743 |
| 3,267 |
| 12,569 |
| 37,192 |
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Interest on subordinated debt |
| 14,840 |
| 9,892 |
| 9,124 |
| 13,473 |
| 14,796 |
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Total interest expense |
| 34,901 |
| 39,891 |
| 49,518 |
| 90,219 |
| 162,610 |
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Portion of rental expense representative of interest factor |
| 1,110 |
| 1,045 |
| 1,071 |
| 1,089 |
| 1,070 |
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Total fixed charges |
| 36,011 |
| 40,936 |
| 50,589 |
| 91,308 |
| 163,680 |
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Preference security dividend (3) |
| — |
| 12,105 |
| 40,656 |
| 30,267 |
| 520 |
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Total fixed charges and preferred stock dividends |
| $ | 36,011 |
| $ | 53,041 |
| $ | 91,245 |
| $ | 121,575 |
| $ | 164,200 |
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Ratio of earnings to fixed charges |
| (0.39 | ) | 2.00 | x | 0.24 | x | 0.17 | x | 1.22 | x | |||||
Ratio of earnings to combined fixed charges preferred stock dividends |
| (0.39 | ) | 1.55 | x | 0.14 | x | 0.13 | x | 1.22 | x | |||||
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Ratio 2 - Excluding Interest on Deposits |
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Earnings available for fixed charges: |
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(Loss) income from continuing operations |
| $ | (21,054 | ) | $ | 36,563 |
| $ | (9,684 | ) | $ | (25,750 | ) | $ | 49,336 |
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Add: |
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Income tax provision |
| (28,882 | ) | 4,508 |
| (28,544 | ) | (50,176 | ) | (13,291 | ) | |||||
Fixed charges |
| 17,959 |
| 13,680 |
| 13,462 |
| 27,131 |
| 53,058 |
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Total earnings available for fixed charges |
| $ | (31,977 | ) | $ | 54,751 |
| $ | (24,766 | ) | $ | (48,795 | ) | $ | 89,103 |
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Fixed charges (2): |
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Interest on borrowed funds |
| $ | 2,009 |
| $ | 2,743 |
| $ | 3,267 |
| $ | 12,569 |
| $ | 37,192 |
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Interest on subordinated debt |
| 14,840 |
| 9,892 |
| 9,124 |
| 13,473 |
| 14,796 |
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Portion of rental expense representative of interest factor |
| 1,110 |
| 1,045 |
| 1,071 |
| 1,089 |
| 1,070 |
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Total fixed charges |
| 17,959 |
| 13,680 |
| 13,462 |
| 27,131 |
| 53,058 |
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Preference security dividend (3) |
| — |
| 12,105 |
| 40,656 |
| 30,267 |
| 520 |
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Total fixed charges and preferred stock dividends |
| $ | 17,959 |
| $ | 25,785 |
| $ | 54,118 |
| $ | 57,398 |
| $ | 53,578 |
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Ratio of earnings to fixed charges |
| (1.78 | ) | 4.00 | x | (1.84 | )x | (1.80 | )x | 1.68 | x | |||||
Ratio of earnings to combined fixed charges preferred stock dividends |
| (1.78 | ) | 2.12 | x | (0.46 | )x | (0.85 | )x | 1.66 | x |
(1) | The ratio of earnings to fixed charges represents the number of times “fixed charges” are covered by “earnings.” |
(2) | “Fixed charges” consist of interest on outstanding debt plus one-third (the proportion deemed representative of the interest factor) of operating lease expense. |
(3) | This is computed as the amount of the preferred dividend divided by (1 minus the effective income tax rate applicable to continung operations). |